Benefits of Fortune Gain Plan
Death Benefit
If the insured dies when the plan is in-force, the following death benefit would be paid: (Higher of the Sum Assured or Single Premium Fund Value) + (higher of the top-up premium Sum Assured + top-up premium Fund Value). If the insured dies before attaining 60 years of age, the Sum Assured would be reduced by the amount of partial withdrawals made in the two years immediately preceding death. If the insured dies after crossing 60 years of age, the Sum Assured would be reduced by the amount of partial withdrawals made from the Single Premium Fund Value in the two years before attaining the age 60 and all withdrawals made after attaining 60 years. Partial withdrawals made from the top-up Fund Value would not be deducted for this computation. The death benefit payable should not be lower than 105% of all premiums paid till death including any top-up premiums paid.
Maturity Benefit
On maturity, the Single Premium Fund Value and any Top-up premium Fund Value available on the maturity date would be paid to the policyholder. The policyholder, if wishes, can also avail the Fund Value in instalments over a period of 5 years post the date of maturity under the Settlement Option.
Loyalty Additions
Loyalty Additions are payable under the plan if the chosen policy term is 10 years to 30 years and the single premium paid is Rs.1 lakh and above. Loyalty Addition is added @ 3% of the Single Premium paid under the plan.
Surrender Benefit
- Within the first 5 policy years : The policy has a 5 year lock-in period. If the policy is surrendered within the first 5 years, the funds in the Single Premium Fund Value and any top-up premium Fund Value would be transferred to the Discontinuance Policy Fund after deducting the Discontinuation charges. This fund would earn a minimum interest of 4% per annum. The money would remain in the Discontinuance Policy Fund till the completion of 5 years and the Fund Management charges would be deducted as and when applicable. If the policyholder dies during this period, the Fund Value as on the date of death would be paid. Otherwise, after the completion of the lock-in period of 5 years, the available Fund Value would be paid.
- After 5 years : If the plan is surrendered any time after the completion of 5 years, the available Single Premium Fund Value and any top-up premium Fund Value would be paid without deduction of any charges.
Tax benefitPremiums paid under the plan would be exempt from tax under Section 80C up to a limit of Rs.1.5 lakhs. The death benefit or the maturity benefit received would also be tax exempt under Section 10(10D) of the Income Tax Act.
